The 2.5 million pounds Arthritis Research UK Rheumatoid Arthritis Pathogenesis Centre of Excellence, a collaboration between the Universities of Glasgow, Newcastle and Birmingham, aims to address the unmet needs of the 400,000 people who suffer from the crippling joint condition.
The three participating centres are committing an additional 4 million pounds in financial support over five years.
Rheumatoid arthritis is serious, inflammatory, auto-immune condition that affects the joints and the body's internal organs leading to chronic pain and fatigue.
Although drug treatments have considerably improved in the past 20 years, they are not effective in all patients.
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Researchers at the new centre, headed by Professor Iain MacInnes, will investigate the underlying causes of rheumatoid arthritis.
They will focus on the mechanisms of auto-immunity that cause rheumatoid arthritis to start, and why it doesn't stop.
This results in chronic inflammation in the joints which cannot be suppressed in at least a third of patients, despite treatment with modern biological therapies.
Although much of the research will be laboratory-based basic science, the ultimate aim of the centre will be to develop new therapies that will provide patients with specific treatment that will work best for them early in the course of their disease, without the need to try and array of different drugs.
"We're really excited about the opportunities this new centre brings, and the consequent collaboration with basic scientists, clinicians and industrial partners who all want to make a difference," said Professor McInnes.
"There is a massive unmet need for better treatments for rheumatoid arthritis; there is no cure, and many people are still suffering. We now have a fantastic chance of doing something about it," he said.